Is Bitcoin Truly "Digital Gold"? 3 Ways the Leading Cryptocurrency Diverges From the Most Popular Inflation Hedge
Bitcoin (CRYPTO: BTC) is, as you may have heard, often called by the catchy moniker "digital gold."But there are a handful of key differences between Bitcoin and real gold, which has long been used as a store of value and as a hedge against inflation. Here are three of the most important ones to know.For Bitcoin to be an equally good hedge against inflation as buying gold, it needs to maintain its purchasing power in fiat currency over time. That way, as the fiat currency becomes more and more devalued, holders can buy the same amount of goods and services when they decide to convert their coins into fiat.Continue reading
Bitcoin (CRYPTO: BTC) is, as you may have heard, often called by the catchy moniker "digital gold."
But there are a handful of key differences between Bitcoin and real gold, which has long been used as a store of value and as a hedge against inflation. Here are three of the most important ones to know.
For Bitcoin to be an equally good hedge against inflation as buying gold, it needs to maintain its purchasing power in fiat currency over time. That way, as the fiat currency becomes more and more devalued, holders can buy the same amount of goods and services when they decide to convert their coins into fiat.
